General Banking Portfolio of IBBL

Scope of General Banking Operations Mobilizing deposits through opening different types of account. Receipts and payments of cash. Passing, cancellation, issuance and payment of cheque. Maintenance of vault and strong room under joint custody for safe keeping cash and vouchers. Handling transfer transactions. Operations of clearing house. Maintenance of accounts with Bangladesh Bank and other Banks. Remittance functions through issue and payment of DD, TT & PO. Custody and maintenance of AOF, SS cards, Cheque Books, Ledgers, Statement of Affairs and Secrecy of Accounts. Executing customers standing instruction in their Accounts. Maintenance of safe deposit lockers. Maintenance of internal accounts of the bank and General Ledgers. Proper house keeping, maintenance of Books and Records and computer (eIBS software). Maintenance of ATM, Electronic Funds Transfer, Internet Banking, Phone Banking etc. Maintenance of security in transaction hour by armed security guard. Correspondence, receipt & dispatch. Usually the following sections/departments are involved to perform the general banking operations: Cash section Bills & Remittance section Clearing and Collection section Accounts section

Mobilizing Deposits
Islamic bank accepts deposits under two principles viz. Al-Wadeah principle and Mudaraba principle. Current account id operated on Al-Wadeah principle and all other deposit accounts on Mudaraba principle of Islamic Shariah. A) Al-Wadeah principle: The word Al-Wadeah has been derived from the Arabic word Wadayun which means to keep/to deposit/to give up/Amanat. As per Shariah, Amanat means to keep something (goods/money/others) to any reliable person/institution for safe and secured preservation of the same keeping its ownership unchanged and which will be returned to the owner on demand as it is/in original shape. In case of Amanat, Bank/any other person/institution can not use, invest, and amalgamate the funds of Amanat with the banks or other funds without prior permission of the owner of the Amanat. But the concept Al-Wadeah indicates to some extend addition of the concept of Amanat. In which there is a provision to obtain prior permission from the owner of the fund to use, invest, amalgamate the said fund with their/other funds and return the same within banking hour on demand. Bank is here Muaddah and depositor is Muddi. B) Mudaraba Principle: The word Mudaraba has bee derived from Arabic word Darb/Darbun which means travel. Thus the word Mudaraba means travel for undertaking business. Mudaraba is form of partnership in profit whereby one party provides provides capital and other party provides skill and labor. The provider of capital is called Shahib-al-Mal or Rabb-ul-Mal (the financer or owner of the fund) and acts like a sleeping or dormant partner while the provider of skill and labor is called Mudarib (entrepreneur/organizer) who provides the entrepreneurship and management for carrying on any venture, trade, industry or service with the objectives of earning profits. Both the parties share the profit as per pre-agreed ratio and the losses, if any, being borne by the provider of capital i.e. Shahib-al-Mal except if it is dew to breach of trust, misconduct, negligence or violation of the conditions agreed upon by the Mudarib

becomes liable for that. The Mudarib is in the nature of a trustee as well as an agent of the business. He is to work with honesty and sincerity and to exercise the maximum possible care and precaution in the exercise of his functions.